M/s. Sree Sivaraj Fireworks Factory Vs The Assistant… — Writ and Judicial Review | Madras HC (2025)

M/s. Sree Sivaraj Fireworks Factory Vs The Assistant… — Writ and Judicial Review | Madras HC (2025)

What the court decided

AI extract

Outcome

Dismissed

Issue for consideration

Whether the writ petitioner, whose statutory appeal against the Section 7A order was rejected for non-compliance with the tribunal's 40% pre-deposit interim order, is entitled to challenge the Section 7B review-dismissal order (specifically on the applicability of the Act) before this Court under Article 226.

Court's answer

Once the petitioner chose to challenge the Section 7A order before the appellate authority, taking all available grounds, and the appeal was dismissed due to non-compliance with the tribunal's interim deposit order, the writ petition cannot sustain a challenge confined to the order passed in the review (Section 7B) proceedings without first challenging the tribunal's interim order or the final rejection order dated 08.05.2023; the Court is not convinced with the petitioner's contrary submission.

Ratio / Principle

In view of the above deliberations, there are no merits in the writ petition; accordingly the writ petition stands dismissed, no costs, connected W.M.P(MD)No.15050 of 2023 closed and W.M.P(MD)No.13951 of 2025 closed as unnecessary.

Detailed headnote1 paragraphs

Madras High Court, Madurai Bench (R. Vijayakumar, J.), W.P.(MD)No.18033 of 2023, decided 03.07.2025 — Writ petition DISMISSED. The petitioner factory, aggrieved by a Section 7A EPF Act order dated 25.06.2014 for Rs.25,88,309/-, had its Section 7B review application dismissed on 07.01.2015. It then challenged both orders before the Delhi High Court (W.P(C).No.980 of 2015), which directed it to the tribunal. Its appeal (ATA No.92(13)/2015, later re-numbered E.P.F.A.No.73 of 2018 before the CGIT cum Labour Court) attracted an interim direction to deposit 40% of the Section 7A amount; upon non-compliance the appeal was rejected on 08.05.2023. Held (ratio): once all available grounds were taken before the appellate authority and neither the interim nor the final order dated 08.05.2023 was challenged, a writ petition confined to the Section 7B review proceedings does not lie; the Court was 'not convinced' with counsel's plea limited to the applicability of the Act. Writ petition dismissed without costs; connected W.M.P(MD)Nos.15050 of 2023 and 13951 of 2025 closed.

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

DATED: 03.07.2025

CORAM

THE HON'BLE MR.JUSTICE R.VIJAYAKUMAR

W.P.(MD)No.18033 of 2023 and

W.M.P(MD)Nos.15050 of 2023 and 13951 of 2025

M/s.Sree Sivaraj Fireworks Factory, Through its Partner

...Petitioner

Vs

The Assistant Provident Fund Commissioner, Employee's Provident Fund Organization, Sub Regional Office, No.1, Lady Doak College Road - Chokkikulam, Madurai - 625 002.

...Respondent

PRAYER: Writ Petition is filed under Article 226 of the Constitution of India, to issue a Writ of Certiorari , to call for the records from the file of the respondent herein MD-10/MD/MDU/57940/RO/ENF-B/2015, dated 07.01.2015, to the tune of Rs.25,88,309/- under Section 7A of EPF Act and to Quash the same.

For Petitioner : M/s.C.Karthikeyan

For Respondent : Mr.A.John Xavier

Mr.M.Ragul for proposed respondent

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ORDER

The present Writ Petition has been filed challenging the order dated 07.01.2015, passed under Section 7B of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952.

2.The petitioner factory has suffered an order under Section 7A of the Act on 25.06.2014. Thereafter, the petitioner has applied for review under Section 7B of the Act. The review application stood dismissed on 07.01.2015. The petitioner factory had filed W.P(C).No.980 of 2015, before the High Court of Delhi, challenging the order passed under Section 7A as well as 7B. The High Court of Delhi was pleased to pass an order on 02.02.2015, directing the petitioner factory to approach the tribunal.

3.In compliance of the order of the High Court of Delhi, the petitioner factory has filed ATA No.92(13)/2015, before the appellate Tribunal. It was later transferred to Central Government Industrial Tribunal cum Labour Court and re-numbered as E.P.F.A.No.73 of 2018. While entertaining the appeal, they passed an order directing the petitioner factory to deposit 40% of the amount specified in the 7A order. This interim order has not been complied with and

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therefore, the appeal came to be rejected on 08.05.2023.

4.After the appeal was rejected by the appellate Tribunal, the present writ petition has been filed challenging the order passed by the original authority under Section 7B of the Act on 07.01.2015. According to the learned Counsel appearing for the writ petitioner, they are entitled to challenge the order passed in the review proceedings with regard to the portion challenging the applicability of the Act. This Court is not convinced with the said submission.

5.Once the petitioner has chosen to challenge the order passed under Section 7A of Act before the appellate authority, all the grounds available, have been taken and interim order has been passed by the appellate tribunal. Due to non-compliance of the interim order, the appeal has been dismissed. In such circumstances, without challenging the interim order or final order dated 08.05.2023, the present writ petition has been filed challenging the order passed in the review proceedings.

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6.In view of the above said deliberations, there are no merits in the writ petition. Accordingly, this Writ Petition stands dismissed. No costs. Consequently, connected W.M.P(MD)No.15050 of 2023, is closed and W.M.P(MD)No.13951 of 2025, is closed as unnecessary.

03.07.2025

NCC : Yes/No Index : Yes/No Internet: Yes/No RJR

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R.VIJAYAKUMAR, J.

RJR

W.P.(MD)No.18033 of 2023 and W.M.P(MD)Nos.15050 of 2023 and 13951 of 2025

03.07.2025

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